Annual Portfolio Review by Shetland (2018)

[shetland]

A loss of 7.4% for 2018, all rather disappointing. I was heavily into UK and European smaller companies which accounts for a large part of the loss.

We are both 65 and have full state pensions and good occupational pensions which together provide far more income than we need.
Also have some cash accounts if needed so the portfolio below is all to be invested.

The ISA's, 62% of the total, are held with ii and the pension part of the portfolio, 38%, is held with HL and is all IT's and cash. It consists of DD SIPP, and ISA's and Share accounts containing pension monies from DD payments, tax free lump sums etc.

Current allocation of all portfolios is

UK 16% OM UK Midcap, OM UK smllr Cos Focus, Marlborough Spec Sits, GFRD, FGT,RII, CSN
Europe 11% Henderson Euro Smllr Cos, Schroder Euro Smllr Cos, Marlborough Euro Multicap, TRG, HEFT
AP/EM 13% IGC,JRS,Bailie Gifford Emerging Mkts, VEIL,Invesco Perpetual Asian, BRFI,
Japan 3% BG Jap Smllr Cos
REITs 15% RGL, RDI, NRR, PHP, Ebox, RSIT, SUPR, THRL
Utilities 4% SSE, EGL
Health 5% IBT, WPCT, BIOG
Infrastructure 4% FSFL, GCP
Cash 29%


The plan for the year is to

Buy Fundsmith, LTGE, Buffetology, Blue Whale. And possibly a global tracker

Add FGT, EGL

Sell WPCT, CSN, BIOG


The changes will take place during the year, the dilemma is...when to start !

[dspp]

I've tweaked your title to help everybody.

Don't beat yourself up on 6% down - the FTSE was down 12%.

regards, dspp

[Dod101]

Sounds like a perfectly reasonable out turn in the circumstances. It is a pity about the EPICS you are using. I have never heard of half them and am not inclined to search them out.

Dod

[shetland]

I have re written the post using full names rather than codes. I couldn't see a way of editing my original post.

A loss of 7.4% for 2018, all rather disappointing. I was heavily into UK and European smaller companies which accounts for a large part of the loss.

We are both 65 and have full state pensions and good occupational pensions which together provide far more income than we need.
Also have some cash accounts if needed so the portfolio below is all to be invested.

The ISA's, 62% of the total, are held with ii and the pension part of the portfolio, 38%, is held with HL and is all IT's and cash. It consists of a Drawdown SIPP, and ISA's and Share accounts containing pension monies from DD payments, tax free lump sums etc.

Current allocation of all portfolios is

UK 16%

Old Mutual UK Midcap, Old Mutual UK smllr Cos Focus, Marlborough Spec Sits, Galliford Try, Finsbury Growth Trust, Rights and Issues Investment Trust, Chesnara


Europe 11%

Henderson Euro Smllr Cos, Schroder Euro Smllr Cos, Marlborough Euro Multicap, TR European Growth, Henderson European Growth Trust


Asia Pacific / Emerging Markets 13%

Indian Capital Growth, JP Morgan Russia, Bailie Gifford Emerging Mkts, Vietnam Enterprise investments Limited, Invesco Perpetual Asian, Black Rock Frontier Markets


Japan 3%

Bailie Gifford Jap Smllr Cos


REITs 15%

Regional REIT, RDI, New River REIT, Primary Health Properties, Ebox, Residential Secure Income Trust, Supermarket REIT, Target Healthcare


Utilities 4%

SSE, Ecofin


Health 5%

International Biotechnology Trust, Woodford Patient Capital Trust, Biotech Growth Trust,


Infrastructure 4%

Foresight Solar, GCP Infrastructure


Cash 29%


The plan for the year is to

Buy Fundsmith, Lindsell Train Global Equity, Buffetology, Blue Whale. And possibly a global tracker

Add to Finsbury Growth Trust , Ecofin

Sell Woodford Patient Capital Trust, Chesnara, Biotech Growth Trust


The changes will take place during the year, the dilemma is...when to start !

[TUK020]

I am curious as to why Galliford Try in the middle of that lot?
tuk020

[shetland]

They looked to be oversold. Then they fell again so I bought more. Then they fell again !!. I still think they are oversold but I won't be buying more.
Part of my strategy is to move away from individual equities and invest in IT's and funds as much as possible but as I say this will be a slow process

[monabri]

As you have sufficient income, are you simply trying to grow your pot? In that case, a low cost global tracker bought in chunks over the next year or so might be a reasonable way forward - Perhaps via Vanguard and/or iShares.

[torata]

The plan for the year is to
<SNIP>
Sell Woodford Patient Capital Trust, Chesnara, Biotech Growth Trust

Hello Shetland

What's the reasoning behind the planned sales of Chesnara and Biotech Growth Trust?

torata

[shetland]

The plan for the year is to
<SNIP>
Sell Woodford Patient Capital Trust, Chesnara, Biotech Growth Trust

Hello Shetland

What's the reasoning behind the planned sales of Chesnara and Biotech Growth Trust?

torata

Biotech growth because I already have International Biotech which performs better. Also I will get some biotech exposure when in invest in LTGE.

Chesnara because it has been disappointing and doesn't really fit with my future strategy. If it starts to perform then I may change my mind

[Dod101]

Thanks Shetland. That all makes sense now. Within your holdings I hold a few but my collectives are in the form of ITs not OEICs for instance. By the sound of it, you are simply looking at total return, that is you are not particularly looking for income, so to sell Chesnara I can understand. It is very much an income play being a zombie insurer with some 'live' funds tacked on. Whilst in selling mode, I would add SSE. It is very exposed to the UK and to the political risk of Corbyn. Furthermore I think its finances are a bit shaky. I would say that of course, because I sold it last year in three tranches and at prices varying form £12.90 to £12.

I know nothing of Blue Whale although I see that Peter Hargreaves seems to be promoting it. That is not much of an endorsement to me as he is very rich by most standards and does not need the money and whatever else he is he is a great salesman.

On the whole you seem to be moving to a rather more conservative mode? With a loss of 7.4% (is that capital only or does it include income?) that sounds OK for the year. Those of us much more exposed to income shares are much nearer the FTSE100 at around 12%. I was very badly hit by tobacco (which I see you do not hold) and my capital loss on my overall portfolio was 11.1%

Dod

[shetland]

All income is automatically reinvested. My usual approach is not particularly conservative, until I started selling during 2018 I held a lot in Asia Pacific and emerging markets. The move into REITs was prompted by a belief that they would hold much better in a downturn which true until the end of December. I just don't think I have the time to manage a large very active portfolio. When I feel the time is right I will move back into AP and EM and I always tend to favour smaller companies funds, so I think my future portfolio with be a mixture of those and the funds and ITs I mentioned in my original post.